Xi Jinping is expected to welcome more than 20 leaders, including Narendra Modi and Vladimir Putin, to Tianjin later this week. Reuters
Xi Jinping is expected to welcome more than 20 leaders, including Narendra Modi and Vladimir Putin, to Tianjin later this week. Reuters
Xi Jinping is expected to welcome more than 20 leaders, including Narendra Modi and Vladimir Putin, to Tianjin later this week. Reuters
Xi Jinping is expected to welcome more than 20 leaders, including Narendra Modi and Vladimir Putin, to Tianjin later this week. Reuters


Xi, Putin and Modi together at the SCO summit in China would be deeply symbolic


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August 29, 2025

The world’s largest regional grouping will meet on Sunday in the northern Chinese port city of Tianjin. The Shanghai Co-operation Organisation may not be quite a household name, but its 10 member states encompass 42 per cent of the global population and about a quarter of the global gross domestic product.

Formed originally in 1996 as the “Shanghai Five” – of China, Russia, Kazakhstan, Kyrgyzstan and Tajikistan – it later became the SCO after it was joined by Uzbekistan, and then by India, Pakistan, Iran and Belarus. It also has two observer states and 14 dialogue partners, including the UAE.

This weekend’s two-day summit will be not only the 25th Council of Heads of State meeting, but also the biggest so far, with Chinese President Xi Jinping welcoming more than 20 leaders, including Russian President Vladimir Putin and Indian Prime Minister Narendra Modi, making his first visit to China in seven years.

On the official agenda are the signing of a joint declaration, approving the SCO’s development strategy until 2035 and the adoption of documents on security and economic co-operation. But overshadowing all that will be the optics. Look at who will be there. And look at who won’t.

“Xi will want to use the summit as an opportunity to showcase what a post-American-led international order begins to look like and that all White House efforts since January to counter China, Iran, Russia, and now India have not had the intended effect,” Eric Olander, editor-in-chief of The China-Global South Project, told Reuters.

I suspect Mr Xi will be far from alone in praising the summit’s significance. Last month, Iranian Foreign Minister Abbas Araghchi said: “The SCO, endowed with vast geopolitical, economic and human resources, is uniquely positioned to be a foundational pillar of the emerging multipolar world order. We must stand resolutely against unilateralism, warmongering and attempts to undermine national sovereignty. Our future lies in co-operation, synergy and mutual trust.” Other Global South leaders are likely to follow suit.

On a geopolitical level, the SCO is useful to its two leading lights

If the spectacle of a gathering of most of the world’s top non-western leaders is all-important – and if it is understood that that is an achievement and an outcome in itself – some will still be scratching their heads and asking: what does the SCO actually do?

First of all, it is important to know that it started as a security organisation; not a mutual defence alliance, like Nato. Originally it was to manage relations between China and the other four “new” countries that came into existence after the break-up of the Soviet Union. In 2001, when the SCO was formally founded, its members signed a convention on fighting terrorism, separatism and extremism, and subsequently opened a Regional Anti-Terrorist Structure in Tashkent.

This is one of the areas in which the SCO has been active. In the real world, as opposed to the glamourised version that appears in TV series, the success of anti-terrorism work is not obvious to the public – because it produces an absence, whether of bombings, cyber-disruptions or armed attacks. At the height of ISIS’s barbarities, I used to wonder if Malaysia, where I live, was lucky not to have suffered a major terrorist incident. Then I was invited to a private briefing by the country’s special branch, and I left all too aware of the many devastating attacks they had thwarted. Perhaps partly for operational reasons, and maybe to avoid scaring the socks off the general populace, they didn’t make their work public. Given the emphasis placed on anti-terrorism by the SCO, it is reasonable to assume that the organisation may have done much to keep its peoples safer, but they just won’t talk about it.

On a geopolitical level, the SCO is useful to its two leading lights.

For Russia, the SCO helps it project influence and provides counter-evidence to the (western) charge that Moscow is increasingly isolated and marginalised. For China, the SCO can help Beijing pursue its objectives by framing them as the desired aims of a wider collective. The SCO – which has also become more and more active in the economic sphere – is a way to make China’s Belt and Road Initiative even more complementary with the Russian-led Eurasian Economic Union. And it also serves as an advantageous forum for Russia and China to manage what could be contested interests, both military and economic, in Central Asia.

At this weekend’s summit, analysts will be closely watching India’s Mr Modi. Clashes between Indian and Chinese forces in the Himalayas five years ago had hardened relations between the two countries. Ties were already beginning to warm, but after this week’s imposition of 50 per cent tariffs on India by the administration of US President Donald Trump, there is much speculation that there could be a deeper strategic recalibration by New Delhi towards Beijing.

Such a course could support the vision Mr Putin presented at last year’s SCO summit in Astana, where he advocated “creating a new Eurasian architecture of co-operation, indivisible security and development … to replace the obsolete Europe-centric and Euro-Atlantic models that gave unilateral advantages only to individual states”.

Critics will complain that many of the SCO’s economic plans – such as a proposed free trade area – remain in the realms of aspiration, and that increasing integration is happening through other means. In a way, that is beside the point. If in Tianjin this Sunday and Monday it appears that “the SCO has become a platform promoting the economic and political integration of the Global South”, as former Kyrgyz prime minister Djoomart Otorbaev wrote this week; if it looks like “the SCO is emerging as a key political and economic group seeking to improve the world order”, then the summit will have succeeded.

For those two days, the optics are (nearly) everything.

Pharaoh's curse

British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Dust and sand storms compared

Sand storm

  • Particle size: Larger, heavier sand grains
  • Visibility: Often dramatic with thick "walls" of sand
  • Duration: Short-lived, typically localised
  • Travel distance: Limited 
  • Source: Open desert areas with strong winds

Dust storm

  • Particle size: Much finer, lightweight particles
  • Visibility: Hazy skies but less intense
  • Duration: Can linger for days
  • Travel distance: Long-range, up to thousands of kilometres
  • Source: Can be carried from distant regions
Updated: August 30, 2025, 5:03 PM